Hollyoaks bosses have confirmed that the soap is "close" to agreeing a series of product placement deals which will see companies paying to have their brands featured on the show.

Under relaxed regulations introduced by the government and brought into force by Ofcom, British broadcasters can now generate extra revenue by showing commercial brands and products on screen in their programmes.

Sean Marley, managing director of Hollyoaks' production company Lime Pictures, has now told the Liverpool Daily Post: "We've been actively preparing for this world for a long, long time. Channel 4 has identified Hollyoaks as a perfect vehicle for this.

"Because of its all-year-round market, it lends itself very well to long partnerships. And because it's made quite close to transmission, it can be on-trend with whatever product you like. We are talking to a number of parties and we are quite close to doing deals that the audience will see as a very natural fit to Hollyoaks."

Marley added that he believes product placement will be a positive move for Hollyoaks as featuring brands will help make the show more realistic.

"The producers of Hollyoaks and the wardrobe team want to reflect the real world, but we cannot reflect real products properly," he explained. "This allows us to reflect that.

"Our job now is to make sure that it fits creatively with our show and that it doesn't become a story in itself. That's when product placement goes too far."